New data released this week by the Deposit Protection Service (DPS) has found that cleaning and property damage are among the most common reasons for landlords and agents to make deposit deductions.
The data charts results going back over the last year, finding 63% of landlords who engaged with the dispute resolution service, cited cleaning as the most common reason for engaging with the DPS.
The full ranked list of reasons is as follows:
1. Cleaning (63%)
2. Damage to property contents (53%)
3. Redecoration (37%)
4. Rent arrears (23%)
5. Gardening (16%)
6. Missing items (16%)
7. Outstanding bills (4%)
Speaking on the breakdown of the issues, managing director of the DPS said: “Many of the problems that lead to deductions can be avoided when both tenant and landlord are aware of their responsibilities and stay in regular communication throughout the tenancy”.
“Around 98% of tenancies end without any dispute between landlord and tenant over the deposit, but in the rare occasions they cannot agree, access to a free, impartial dispute resolution process helps ensure that everyone is treated fairly.”
Research conducted by the National Landlords Association (NLA) highlights the increasing issues landlords and agents are facing from problem tenants in the private rented sector. With increasing numbers of disputes, their research found that our members experienced these issues with tenants:
· Rental arrears (38%)
· Property damage (30%)
· Anti-social behaviour (15%)
For the best results in protecting your portfolio, NLA property insurance is a must have, as other normal home insurance policies are not valid in these scenarios, something most landlords are not aware of. Over 90% of our members choosing NLA Property Insurance renew their policies, you can read more about the best policy for protecting you and your property here.
Alongside protecting your property, ensuring you get the right tenant is key to a successful investment. NLA tenant check will ensure you take the risk out of renting by protecting your rental income and reduce the risk of letting to unreliable tenants, conducting a full background check on income, credit history and referencing. The service will also protect your rental income, covering up to £2,500 in arrears each month.
You can find out more about NLA tenant check and other services on offer here